Bitcoins - about to hit $5,000 per coin today!

[Thin Lizzy]

im talking about bitcoin.

Anyway, good chance were dropping to the range mayday mentioned earlier. imo

Bitcoin held up well considering the slaughter in the Tech Sector. This week should be inneresting🤔 We’ll the correlation between tech stocks and Crypto. This was not a run of the mill correction. People who bought high flyers near the top are going to be holding the bag for a long time.

[Mayday]

Bitcoin held up well considering the slaughter in the Tech Sector. This week should be inneresting🤔 We’ll the correlation between tech stocks and Crypto. This was not a run of the mill correction. People who bought high flyers near the top are going to be holding the bag for a long time.

Tesla stock being hammered because Wall Street doesn’t function anymore on stock valuation. It’s all speculation of an event now. Speculation of a crash. Speculation of a short. Speculation of QE. It’s all they have left to make money.

For BTC I would lean towards the price floor effect being the main reason for a divergence of BTC to stocks. In saying that we are still seeing everything dip so BTC still gets hurt.

Since March the bulk coin purchases have been removed from exchanges. It didn’t mean much in 2020 but in 2021 we are seeing shallower dips and massive buying pressure during a dip. This is the most vital piece of data for overall market stats of play.

Price floor in Feb was calculated at 39.4K meaning it would take a black swan event to break below that level. I wouldn’t be surprised to see a second leg down to the 39-42k range (most likely the higher end of that range) followed by an almost immediate recovery.

Whatever price we see this dip you will never see again. People should FOMO their brains out right now.

After this next 1-2 weeks the pullback should be over, the next BTC target is ballpark 77k. After that.....

[obsidian]

For the Ethereum haters....

[Mayday]

For the Ethereum haters....

Fuck yeah boi!

I saw it decouple last night 

1559 is scheduled for July. ETH will go bananas second half of this year.

[Theoak*]

Placed all my ETH in an interest account. Substantial amount too. Interest will be paid in btc monthly. Still view Eth as a shitcoin so not too fussed what happens with it. The fact it can generate me more btc is its only use case for me.

[Thin Lizzy]

Tesla stock being hammered because Wall Street doesn’t function anymore on stock valuation. It’s all speculation of an event now. Speculation of a crash. Speculation of a short. Speculation of QE. It’s all they have left to make money.

For BTC I would lean towards the price floor effect being the main reason for a divergence of BTC to stocks. In saying that we are still seeing everything dip so BTC still gets hurt.

Since March the bulk coin purchases have been removed from exchanges. It didn’t mean much in 2020 but in 2021 we are seeing shallower dips and massive buying pressure during a dip. This is the most vital piece of data for overall market stats of play.

Price floor in Feb was calculated at 39.4K meaning it would take a black swan event to break below that level. I wouldn’t be surprised to see a second leg down to the 39-42k range (most likely the higher end of that range) followed by an almost immediate recovery.

Whatever price we see this dip you will never see again. People should FOMO their brains out right now.

After this next 1-2 weeks the pullback should be over, the next BTC target is ballpark 77k. After that.....

Wall Street has always been a casino. Speculative schemes have been going on  before our grandparents were born.

You might be right but it smells like a pump and dump to me. My GUESS is that it eventually crashes AGAIN, goes back into the doldrums, and we don’t hear from the bitcoin bugs for a while.

[gib]

Supply of Bitcoin is totally limited. The window of opportunity for most people on our planet to become wholecoiners is rapidly closing.

Demand for Bitcoin is growing daily, both by the big players, and by retail investors. Its not even so much "investment" as opposed to seeing a global haven as a store of value to preserve future wealth.

The entire ecosystem around BTC continues to grow globally. Exchanges, regulatory, banks, Visa, Paypal, ETFs etc. So even if there is a dip in price, the entire infrastructure has been built for the next huge bull run. Money printing continues. Faith in fiat currencies is falling. We will see a Chinese digital coin with huge privacy concerns and tracking implications. And we may also see increased taxes on hard physical assets such as residential real estate, to pay for the handouts to the masses and to finance government spending.

Since the Covid panic Bitcoin low of below USD 5,000, we have gone up more than 10x to USD 50,000 in around a period of a year. It takes just a 2x increase from here to get us to 100K, which is easily achievable by year end. My "BTC 100K by end 2021 as a possibility" statement back in 2017 now seems now quite realistic.

I continue to suggest to anyone to continue to accumulate Sats and then Hodl. Ignore the short term noise and see the big picture.

At times like this we need to reflect on the prophetic words of resident financial genius Mr Anabolic...

"Never forget - first 100,000, then 1,000,000"

[Mayday]

Wall Street has always been a casino. Speculative schemes have been going on  before our grandparents were born.

You might be right but it smells like a pump and dump to me. My GUESS is that it eventually crashes AGAIN, goes back into the doldrums, and we don’t hear from the bitcoin bugs for a while.

But what started as Speculation on business fundamentals has dwindled to become speculation on outside market influences because money has already front run all the yield from the metrics.

 The market today is nothing like the market 50yrs ago and behaves nothing like 50yrs ago. Tesla buys BTC which quickly makes the company more profit in a month than the entire business made in the previous year and the result is the share price goes down because all stocks went down lol. It’s a total decoupling from fundamentals now.

It can be bailed out. I’m not saying it won’t but it’s during this bailout that you see emerging markets fly past it.


The underlying data/behaviour in BTC isn’t like before. It has changed and it will catch everybody by surprise. We have a price floor of ballpark 39.4K right now. We won’t see 20k or 30k again. In May, we won’t see 40k ever again.

The pullback from peak might be 50% instead of 85% but perspective can be a bitch. A 50% pullback from 80k is 40k. A 50% pullback from 500k is 250k.

[Griffith]

Stimulus cheque of $1400 passed in US senate.

[Griffith]

For the Ethereum haters....

 

[FitnessFrenzy]

$ 50,947.42

[Thin Lizzy]

But what started as Speculation on business fundamentals has dwindled to become speculation on outside market influences because money has already front run all the yield from the metrics.

 The market today is nothing like the market 50yrs ago and behaves nothing like 50yrs ago. Tesla buys BTC which quickly makes the company more profit in a month than the entire business made in the previous year and the result is the share price goes down because all stocks went down lol. It’s a total decoupling from fundamentals now.

It can be bailed out. I’m not saying it won’t but it’s during this bailout that you see emerging markets fly past it.


The underlying data/behaviour in BTC isn’t like before. It has changed and it will catch everybody by surprise. We have a price floor of ballpark 39.4K right now. We won’t see 20k or 30k again. In May, we won’t see 40k ever again.

The pullback from peak might be 50% instead of 85% but perspective can be a bitch. A 50% pullback from 80k is 40k. A 50% pullback from 500k is 250k.

[Mayday]

Eddie Murphy films are still awesome today!

Do you believe speculation on social media forum posts is a natural progression for the global investment system?

 Do you believe there is 100% confidence from the banks about their own sector today?

[obsidian]

https://www.coindesk.com/software-firm-meitu-buys-22m-of-ether-17-9m-bitcoin-for-its-treasury

Hong Kong-listed Meitu Inc. , which makes image and video processing software, said it had purchased $22 million in ether (ETH, +4.88%) (ETH) and $17.9 million of bitcoin (BTC, +2.52%) (BTC), making it the first time a firm has disclosed a major purchase of ETH for its treasury.

Meitu said it bought 15,000 ETH and 379.1 BTC in open market transactions on March 5.

The purchases were under the terms of a previously board-approved cryptocurrency investment plan that allows the company to put up to $100 million of crypto, financed by cash reserves other than any remaining proceeds from Meitu's 2016 IPO.

While the company said that while buying crypto helps diversify its holdings away from cash, "More importantly, the Board considers this a demonstration to investors and stakeholders that the Group has the vision and determination to embrace technological evolution, and hence preparing its foray into the blockchain industry."

The company said it's evaluating the feasibility of integrating blockchain tech into its overseas business, including launching Ethereum-based dApps. ETH is the native token of the Ethereum blockchain. It's also evaluating potential investments in blockchain-based projects, many of which accept ETH as consideration for investment.

[obsidian]

https://www.bloomberg.com/news/articles/2021-03-07/crypto-coin-outperforming-bitcoin-is-about-to-see-supply-reduced

Ethereum blockchain developers approved one of the biggest changes to the network since its inception in 2015, a shift that could spur even bigger gains in the price of its native cryptocurrency Ether.

The move will reduce the amount of outstanding Ether by destroying some of the tokens every time it’s used to fuel transactions on the world’s most-used blockchain. Known as EIP 1559, the change solves a current problem: Ethereum users can only estimate how much Ether will be needed for transactions to be processed, a guessing game that has spawned sites such as ETH Gas Station to help people know how much to pay. EIP 1559, which will become part of an upgrade in July or August, will embed an average price into the network itself making the guessing game obsolete.

The reduced supply of Ether will likely lead to rising prices as demand for the coins increases, said Eric Turner, director of research at Messari, a cryptocurrency analytics firm.

“This is probably one of the biggest milestones we’ve seen recently,” he said. Until EIP 1559 goes into effect after being approved Friday, the supply of Ether was theoretically infinite, leading to criticism that its underlying monetary policy was weak and inflationary. “Now, they’re actually controlling inflation on Ethereum” and “in some cases you’re looking at negative inflation so it’s definitely important,” Turner said.

Ether has seen an already incredible price gain in the past 12 months, along with Bitcoin and other digital assets. Ether has risen about 560% in the past year, while Bitcoin is up about 430%, according to data compiled by Bloomberg. Unlike Ether, Bitcoin has had since its start in 2009 a fixed supply of 21 million coins that will ever be created. That difference has led critics of Ethereum to say it shouldn’t be viewed as a similar digital currency as Bitcoin.

Tim Beiko, a senior product manager at ConsenSys who’s leading the protocol team implementing EIP 1559, compared the current fee environment in Ethereum to a gas station where each of the four pumps has a different price. Going forward, “we’ll gauge demand for the network and we put that average price as part of the network itself,” he said. EIP 1559 “fixes a bug in the economics of Ethereum we’ve known about from the start.”

The proposal also will change a strange feature in Ethereum that no one really saw coming. Users can now pay an Ethereum miner to process their transaction with a credit card or another cryptocurrency, undermining Ether’s role in its own blockchain, Beiko said. EIP 1559 makes Ether the only way to pay for transactions on the network.

“It cements Ether’s role in the ecosystem,” he said.

[Mayday]

March 2020 —> 3.1M BTC coins on all exchanges —> price 5k

March 2021 —> 2.4M BTC coins on all exchanges —> price 58k

A 23% supply reduction resulting in a 1,060% price increase.

The scarcity argument is real and coins being bought and removed from exchanges has continued since the pandemic and not stopped.

This behaviour will continue well into the rest of the bull market. The result is a fast rising price floor and barrier to entry.

[obsidian]

March 2020 —> 3.1M BTC coins on all exchanges —> price 5k

March 2021 —> 2.4M BTC coins on all exchanges —> price 58k

A 23% supply reduction resulting in a 1,060% price increase.

The scarcity argument is real and coins being bought and removed from exchanges has continued since the pandemic and not stopped.

This behaviour will continue well into the rest of the bull market. The result is a fast rising price floor and barrier to entry.

Interesting.

Ethereum will also be getting more scarce after they implement EIP-1559 in July. Lower gas fees, more scarcity, increased usage. What's not to like? I see Ethereum going up quite a bit, barring a financial collapse. Let's face it cryptos will go down with everything else if there is worldwide collapse.

[gib]

What's not to like is that the burning is countered by unlimited creation of new Eth, with no fixed supply.

Still, I do think Eth will have upside, but this is more due to Eth being (incorrectly) seen as an "alt' to BTC, as opposed to anything else...

When BTC gets to 100K, we could well see Eth at over 2500K based purely on BTC gains.

[Thin Lizzy]

Eddie Murphy films are still awesome today!

Do you believe speculation on social media forum posts is a natural progression for the global investment system?

 Do you believe there is 100% confidence from the banks about their own sector today?

Social media posting is the modern day version of a “Tip Sheet,” a modern day version of something that’s been around forever.

Regarding as to whether bitcoin will replace Fiat currencies, the reason the gold standard was scrapped is because governments couldn’t inflate the way they’re doing so now. I don’t see why they would welcome a digital form of gold which would handcuff their spending.

[Griffith]

https://finance.yahoo.com/news/ethereum-etp-list-deutsche-borse-125709509.html

Ethereum ETP to List on Deutsche Borse

London-based ETC Group is to list an Ethereum exchange-traded product (ETP) on Deutsche Borse’s Xetra market, based in Frankfurt, Germany.

The new “ETC Group Physical Ethereum ETC” product will track the price of ether and trade under the ticker “ZETH” when it goes live Tuesday. An ETC is an exchange-traded commodity, a kind of ETP.

ZETH will be a central counterparty-cleared product structured as an asset-backed debt security distributed on the HANetf platform. The management fee will be 1.49%.

“Institutional investors are demanding regulated crypto products that are secure, liquid, and central counterparty cleared and ETC Group is building products that adhere to the complex and exacting standards of the institutional investor,” said Bradley Duke, CEO of ETC Group.

In June, ETC Group listed its “Bitcoin Exchange Traded Crypto” ETP, also on the Deutsche Borse’s Xetra.

The bitcoin product has now amassed over $1 billion in assets under management, said the firm.

[Griffith]

From 49:00, he reckons ETH could reach 10K in five months, if it repeats another 5x from past 5 months, and possibly 20K by end of year.

[obsidian]

What's not to like is that the burning is countered by unlimited creation of new Eth, with no fixed supply.

Still, I do think Eth will have upside, but this is more due to Eth being (incorrectly) seen as an "alt' to BTC, as opposed to anything else...

When BTC gets to 100K, we could well see Eth at over 2500K based purely on BTC gains.

Quite a few people think that Bitcoin will ultimately have to remove the finite cap on the supply.

Bitcoin's security is provided by miners. And their incentive for mining are rewards paid in Bitcoin. Once all Bitcoin has been minted why would they secure the network? Who's going to pay them for that?


https://finematics.com/ethereum-eip-1559-explained/

Burning the base fee creates an interesting feedback loop between the network usage and the ETH supply. More network activity = more ETH burnt = less ETH available to be sold on the market by miners, making the already existing ETH more valuable.

Burning the base fee basically rewards the users of the network by making their ETH more scarce instead of overpaying miners.

The fee burning mechanism also sparked a few discussions about ETH becoming deflationary. This would be possible if the block reward is lower than the base fee burnt. That would be the case, for example, during the recent DeFi gas fee craze where the network was constantly under heavy utilization.

One potential drawback when it comes to burning the base fee is the fact of losing control over the long term monetary policy of ETH. With this change, ETH would end up being sometimes inflationary and sometimes deflationary. This doesn’t look like a major problem as the max inflation would be capped at around 0.5-2% per year anyway. 

So will EIP 1559 make gas fees much lower?

Not really, it will clearly optimise the fee model by smoothing fee spikes and limiting the number of overpaid transactions, but the main ways of lowering gas fees are still ETH 2.0 and Layer 2 scaling solutions.

https://blockchainnews.azurewebsites.net/news/ethereum-become-deflationary-asset-see-its-supply-reduced-proposed-eip-1559-upgrade

The Beauty of the EIP 1559

The Ethereum Blockchain is unarguably the world’s most used public blockchain, with numerous decentralized finance applications building on it. There have been incessant calls for an alternative to the congestion the network faces, which significantly increases Ethereum gas fees, a fee each user needs to pay for transacting on the blockchain.

With the EIP 1559, the network sets a base fee for every transaction that is carried out on the Ethereum network giving fair opportunity to all. Users who may wish to conduct their transactions faster than the standard provisions of the network can add a tip to validators, to fast-track their transactions. A part of this tip is burnt, helping to improve the monetary policy of the Ethereum network as a whole.

Additionally, the EIP 1559 upgrade will eliminate the use of other digital tokens for payment of fees in the Ethereum Network. Only Ethereum will be used, thus restoring the unique relevance of the Ethereum (ETH) cryptocurrency.

Implications for Ethereum’s Price

Scarcity is introduced each time Ethereum is burnt after being used in transactions, a feature that helps prevent the inflationary tendencies the network has been exposed to since its launch back in 2015. With this deflationary model, the price of Ethereum is bound to take an upward swing.

Reduced supply and scarcity are characteristics that Bitcoin has wielded to present itself attractive to investors over the years. There are only 21 million BTC that can ever be mined, and with the scheduled reduction in Ethereum’s supply, the demand for Ether may go up. Therefore, with the announcement that EIP 1559 will be implemented, Ether has resumed an uptrend.

[obsidian]

https://beincrypto.com/eip-implementation-would-have-resulted-in-burning-nearly-1m-eth-in-2020/

The Ethereum Improvement Proposal that could effectively change the fee market mechanism by burning a little ETH for every transaction made has yet to be implemented as it is still being tested.

If EIP 1559 had been implemented, hypothetically it would have burnt an estimated 970,000 ETH over the past 365 days, according to Dune Analytics. At today’s prices, this is approximately $370 million worth of ETH.

[Mayday]

What's not to like is that the burning is countered by unlimited creation of new Eth, with no fixed supply.

When BTC gets to 100K, we could well see Eth at over 2500K based purely on BTC gains.

 ETH is being used for DeFi and just like ETH won’t take The crown for store of wealth, BTC won’t take the crown for DeFi.

Your numbers are pretty off. Right now ETHBTC pullback ratio bottoms at 0.029 which would mean ETH at 2,900 on a huge 25% pullback. ETHBTC generally sits at 0.034 when ETH isn’t going for a run which means 3,400 on a 100k BTC. That is prior to any 1559 upgrade and upward price impact.

Big players are on the sidelines waiting for the 1559 decision outcome. We will see what they do in July when the upgrade takes place.

[obsidian]

Dogecoin might end up being a better investment than Bitcoin in the short term. It could do a 17x to 20x to $1 and perhaps a little higher.

Will Doge reach $1 before Bitcoin reaches $1 million?

https://markets.businessinsider.com/currencies/news/mark-cuban-dogecoin-dallas-mavericks-largest-merchant-price-prediction-2021-3-1030158472

Mark Cuban said the Dallas Mavericks are now the largest Dogecoin merchant in the world.
The NBA basketball team has carried out more than 20,000 Dogecoin transactions, the billionaire said.
The investor said if his team sells merch worth another 6.5 billion Dogecoin, the token's price could hit $1.

Billionaire Mark Cuban announced on Saturday the Dallas Mavericks have completed more than 20,000 transactions in Dogecoin, making his NBA team the largest merchant of the meme-based cryptocurrency.

The "Shark Tank" host said if his team sells merchandise worth another 6.5 billion Dogecoin, the digital asset's price could hit $1. Dogecoin was last trading 8% higher at $0.055 per coin on Monday.

Cuban tweeted: "The @dallasmavs have done more than 20,000 #Dogecoin in transactions, making us the LARGEST #DOGECOIN MERCHANT IN THE WORLD ! We thank all of you and can only say that if we sell another 6,556,000,000 #DOGECOIN worth of Mavs merch, #dogecoin will DEFINITELY HIT $1 !!!"



The legendary investor's announcement came two days after he told DealBook the NBA's Mavericks would begin accepting Dogecoin as payment for tickets and merchandise. "Sometimes in business you have to do things that are fun," he said, explaining the team's decision.

Only a month ago, Cuban said Dogecoin has "no intrinsic value" but he bought some for his son anyway for educational reasons. "It gives you a better chance of winning than a lottery ticket, all while teaching the economics of supply and demand and introducing people to crypto assets," he said.

Dogecoin has got recent boosts from billionaire Elon Musk, rockstar Gene Simmons, and rap legend Snoop Dogg. The Tesla founder sent its price soaring 25% in February when he tweeted "literally" along with an image of the meme-famous Shiba Inu dog. Musk posted another positive tweet about the asset over the weekend, saying: "Doge spelled backwards is Egod."